Sustainability: Why going green is no longer optional
The coronavirus scare did not stop the Middle East Film and Comic Con event from welcoming geek fans in Dubai last month. Here’s why the regional pop culture industry is riding a high wave
In Europe, from the start of December to the end of February, the average temperature was 3.4 degree celsius above the norm when compared to 1981-2010 and 1.4 degrees higher than 2015-2016 to make it the hottest-ever winter on record.
As a report by the Climate Action Summit bluntly put it, “we are in a climate crisis”. Global warming has to be limited to 1.5 degree celsius by the end of this century to avoid “irreversible and catastrophic impacts”, it said. This means that carbon dioxide (CO2) emissions need to decline by about 45 per cent by 2030 and reach net zero in 2050.
With climate change staring us in the face like never before, the issue of sustainability has catapulted to the fore across the world, with governments, corporates and individuals scrambling to adopt and implement policies and practices that will leave the earth a habitable place for future generations. At the UN Climate Change Conference (COP26) slated to be held later this year in Glasgow, countries are expected to urge for more stringent measures to curb greenhouse gas emissions and avoid temperature increases.
Regionally, the topic has already received its fair share of space in public policies, with the UAE, for instance, even renaming the Ministry of Environment and Water as the Ministry of Climate Change and Environment. A local council for climate change was also set up way back in 2016 to create partnerships with the private sector, conduct studies and lead scientific research in fields related to the ministry’s work.
“In the Middle East, governments, businesses and communities are showing more and more their vow to a greener future and to amplify the conversation on sustainable development in order to adopt sustainable lifestyles,” says Jesús Sancho, managing director, Middle East at sustainable infrastructure company Acciona.
“This move is deemed critical to mitigating climate change and reducing the region’s important carbon footprint. However, regional governments should engage with the private sector as they need to attract more ‘green’ investors to ensure that the transition can cope with the necessary changes. We are not talking about fighting against climate change any more; it is too late already. Now we need to join forces to try to mitigate its consequences altogether,” he explains.
The energy equation
The one sector that has traditionally driven the regional economy – and continues to play a significant role in its business landscape – is energy, which is now evolving rapidly. Governments in the region have set ambitious sustainability targets, with the UAE Energy Strategy targeting 50 per cent in clean energy by 2050 (with 44 per cent renewables, 38 per cent gas, 12 per cent clean coal and 6 per cent nuclear), while Saudi Arabia is looking to generate over 27GW of clean power by 2023 and over 58GW by 2030.
“These ambitious targets are supported by the regulatory certainty and transparency investors look for. In addition, the existence of a secure off-take, access to land and grid connection, and the availability of competitive financing backed by solid credit worthiness continues to support the sector, contributing to the record tariffs we have witnessed,” states Yousif Al Ali, executive director at Masdar Clean Energy.
The Abu Dhabi-based clean energy company, which launched in 2006, has emerged as a showcase of the country’s renewable energy agenda. Masdar is now present in over 30 countries, in a sector that has investment of over $300bn a year.
But challenges still exist with an imminent requirement to boost innovation to increase efficiencies and integrate the intermittent renewable energy sources into grid infrastructure, explains Al Ali.
One company working towards achieving this is GE Energy, with the company deploying gas-based power generation to bring power online as and when required to stabilise the grid and plug the gap in power supply and demand when the wind isn’t blowing, or the sun isn’t shining, as Joseph Anis, president and CEO of GE Gas Power, Middle East, North Africa and South Asia explains.
The bottomline is that more investments are required in the energy system globally if we have to achieve climate goals – the Intergovernmental Panel on Climate Change estimates we will need investment of $2.4 trillion each year to limit global warming to 1.5 degree celsius – that’s 2.5 per cent of global GDP.
“Thankfully, technology advances, economies of scale and a more attractive risk profile for renewable energy investments are all making the economic case for renewable energy stronger than ever – for instance, the cost of installing photovoltaic solar power has fallen 80 per cent since 2009, according to IRENA,” says Al Ali.
Beyond energy
While the energy sector plays a key role in driving sustainability, every industry and business is tasked with leading the change, in whichever way relevant or possible. And many regional companies have already championed the cause and started implementing – or announced – grand plans.
One example is Sharjah-based Bee’ah, which was set up 10 years ago to tackle the issue of waste management. It has achieved a 76 per cent waste diversion rate for the emirate – claimed to be the highest in the Middle East – and this is projected to reach 100 per cent in 2021 upon completion of the region’s first waste-to-energy plant.
The company, which works with establishments such as the world’s tallest building, Burj Khalifa, and Dubai World Trade Centre, processes three million tonnes of waste annually, by recycling, recovering and regenerating materials for reuse at its waste management complex. The company has facilities to recycle mixed fibres, plastics, metal, rubber, industrial and construction waste.
Bee’ah group CEO Khaled Al Huraimel says that there is growing interest in going green. “A lot of the private companies have put their own [sustainability] targets and many of them contact us for help. We even act as advisors and consultants for many private organisations, provide training and workshops as well as environmental assessment reports. So definitely, there is an industry where there is a lot more focus, especially in our region – today, more than ever,” he states.
One specific initiative that has caught global attention is Bee’ah’s upcoming headquarters slated to open this year, which has been designed by Zaha Hadid Architects. One of the last projects that Hadid personally worked on before she passed away, the new building will be 100 per cent powered by renewable energy, with the energy storage provided by Tesla. Also claimed to be one of the smartest buildings in the region, it will feature a fully integrated AI system.
“This building reflects our vision of positioning Bee’ah as a regional pioneer in sustainability and digitalisation,” states Al Huraimel.
In the neighbouring emirate of Ajman, Acciona recently completed a bus stop built using 3D concrete printing technology – the first of its kind in the Middle East. According to the company, the benefits of such 3D manufacturing versus conventional construction methods include the reduction of waste (no molds or forms are used) and the lessening of CO2 emissions. In this case, the bus stop’s design also allows for the placing solar panels on the roof.
The company, which also recently showcased its 100 per cent EcoPowered car – claimed to be the first zero emissions vehicle to finish the Dakar Rally – in Saudi Arabia, says that there is more interest in the region for developing sustainwable projects.
“We see a lot of public tendering in the short and medium term – especially in the UAE and Saudi Arabia. Projects that contribute to the reduction of carbon emissions such as transport infrastructure, utilities or industrial facilities which demand the latest technologies are all promising in the GCC,” states Acciona’s Sancho. “Good examples in the region are the projects related to railways, tunnels, bridges, metros, roads, seawater and brackish water desalination by reverse osmosis, sewage treatment plants and smart cities developments, waste-to-energy and biodiesel plants and lastly renewable – solar or wind — power plants.”
Advocating a green future
Several other regional companies have also started taking measures to combat climate change through a range of initiatives. In November, Abu Dhabi-based Etihad Airways partnered with Boeing to launch the Greenliner programme, which will be used to test products, procedures and initiatives designed to reduce carbon emissions. The airline, which has committed to a minimum target of zero net carbon emissions by 2050 and halving of its 2019 net emission levels by 2035, also secured Dhs404.2m in funding to expand the Etihad Eco-Residence, a sustainable apartment complex for its cabin crew.
In November, retail conglomerate Majid Al Futtaim also announced its commitment to phase out single-use plastics across its operations by 2025. During the year, the company also refinanced existing debt through two green sukuk issuances totalling $1.2bn, with the proceeds to be used for projects including green buildings, renewable energy, sustainable water management and energy efficiency.
Fashion outlet Splash says it is adopting a more holistic approach towards sustainability, looking at it from product design, selection of raw material, manufacturing practices, supplier selection and packaging material to warehousing and retail. The brand claims to have become the largest user of recycled polyester in the MENA region, recycling 5.7 million bottles.
“This year, we have collaborated with international agencies and industry experts to advance our sustainability initiatives and aim to make more than 80 per cent of the Splash product line using sustainable raw materials,” says CEO Raza Beig.
Driving change
But while brands may be attempting to make a change, are consumers also changing their buying patterns?
“Sustainability was not always front of mind for many customers, however, today they are waking up to the disastrous impact of fashion on the environment and challenging industries to support the fight against global warming,” says Beig.
He says this is especially true of millennial consumers, who now scrutinise corporations and their sustainability practices.
“There has been a paradigm shift in consumer behaviour. We have observed that consumers in this region are driven by more than price – they’re looking for brands that align with their personal values and needs. A general concern for the environment is on the rise, with plastic pollution, loss of biodiversity, and climate change deemed as the top three issues.”
Looking ahead, the call for action is strong.
Sancho from Acciona opines that regional companies still need to do much more. “While sustainable practices are slowly becoming the norm for many companies in the UAE, challenges remain that need to be addressed: the GCC has developed rapidly, and the pace of change here remains fast. It’s easy for people to think that they don’t have the time or resources to invest in the research or planning associated with sustainability and that the opportunity cost of sustainable practices is too high.
“Getting organisations to grasp the long-term necessity and benefit of sustainable practices is one of the main challenges. As more countries take charge to tackle the threats of climate change looming over the world, companies must all increase their efforts to take steps to build a better planet,” he says.
Adds Al Ali from Masdar: “I don’t think anybody should settle for “doing enough” – we all need to continue to drive progress.”
Beig concurs, stating that while progress is underway in some areas, it is not happening fast enough. “But this is not a reason to give up hope; in fact, it’s a reason to step up our actions. Time and time again, we’ve seen that progress is possible when we work together towards a common goal.”
More hopeful is Bee’ah’s Al Huraimel. “This is a global effort, because we cannot do it alone. But I’m optimistic and my view is that we will see a positive change globally.”
The force was certainly with the Middle East Film and Comic Con (MEFCC) event in Dubai this year. While several events in Dubai – and across the globe – have been cancelled or postponed due to concerns over the coronavirus Covid-19, the region’s premier pop-culture event managed to keep its doors open. Of course, gloves and masks found their way into many more costumes this season. “We encouraged people to practice good respiratory and hand hygiene, we had hand sanitisers available for use across the event, there were thermal cameras at the event entrance and as ever, we cleaned the site regularly,” says Michael Lamprecht, event manager at Informa Middle East – organisers of MEFCC.
The star-studded line-up of celebs headlining the event remained more or less unscathed by the coronavirus outbreak– from Mena Massoud (of Aladdin fame) and Elodie Yung (Daredevil) to Brandon Routh (Superman Returns) and John Rhys-Davies (Lord of the Rings), all of whom met and chatted with fans in Dubai.
While organisers did not disclose the number of attendees this year, the event usually attracts “tens of thousands”, evidencing the exploding growth of the regional pop culture industry. The audience includes a cross section of the pop culture world, from movie fans to gamers and comic book fans to cosplayers, states Lamprecht.
“It may sound cliché but the show appeals to a wide group of people – 16 per cent of our visitors are under 18, 66 per cent are between 18 – 34, and 18 per cent are over 35. What’s also interesting is 13 per cent of our visitors come solo,” he adds.
Regionally, the wider leisure and entertainment industry has been steadily growing. GCC consumers spend 6.2 per cent of their income on average on leisure and entertainment (L&E), compared to 4.2 per cent in the UK, a study by global consulting firm Strategy& found last year.
“L&E activities impact society’s well-being positively in a number of ways, through engaging nationally relevant culture and art activities, increasing citizens’ participation in recreational events and affirming belonging among diverse groups of people – which all leads to a higher quality of life,” said report author and partner with Strategy& Middle East, Bahjat El-Darwiche.
The pop culture market, while still accounting for a small portion of the wider L&E market, is steadily gaining traction across the region. Saudi Arabia, which relaxed its restrictions on entertainment as part of its Vision 2030 diversification plan, held its first Comic Con event in 2017. The event, held for a second time in 2018, managed to attract huge crowds. In November, Riyadh also hosted the two-day Stan Lee Con, where comic book fans and cosplayers from across the country got to meet with celebrities and check out geek favourites such as the Batmobile and the DeLorean time machine of Back to the Future fame.
With rising interest in the industry, Lamprecht highlights two main trends that he’s noticed at MEFCC.
“Firstly, the huge increase in the diversity of the content our audience engages in – from Korean drama to Arabic indies we’re seeing much more of a demand for content from across the world. Secondly, individualism and self-expression is a huge part of our event. It’s a universal trend that people like to express themselves, whether it’s the clothes they wear, the films they watch and tweet about, or even something as small as a phone cover, or piece of jewellery.”
The business around the industry has also picked up steam.
“Certainly, we’re seeing growth in the pop culture industry with many of our key partners opening in multiple locations. Partners such as Geek Nation have multiple stores not only within the UAE but across the region, including Kuwait and Saudi Arabia,” says Lamprecht.
Looking ahead, while pop culture – read science fiction – is usually credited with predicting the future (and it has proven to be true several times), the industry is also feeling an impact from technologies such as AI. “Each year we see more interesting, diverse and new technologies on the show floor. We’re seeing VR, AR and AI implemented into brands’ stands as well as dedicated VR gaming zones such as Street Maniax’s Hado VR where you can throw energy balls to down your opponents,” states Lamprecht.
In what could potentially provide another major boost to the industry, the next edition of the MEFCC is slated to take place during the sixmonth period when Dubai will host Expo 2020.
“We have big plans for MEFCC next year. Firstly, we will be heading to the Dubai Exhibition Centre in the Expo 2020 site, giving our visitors the opportunity to explore the exhibition while at the show.
“Secondly, we are creating a pop culture mega-event and locating Middle East Games Con and Middle East Film and Comic Con in the same space. We’re looking forward to sharing more details later this year,” adds Lamprecht.
With the pop culture industry growing at an astronomical pace, it’s probably apt to quote Dr. Emmett Brown from Back to the Future to understand where it is headed: “Roads? Where we’re going, we don’t need roads!”